Abstract
Managerial competencies are lacking in micro busi-nesses in South Africa; the shortage, mainly micro businesses, has severely hampered the SMME sector. Due to the deficiency, the SMME sector still operates in a volatile market, significantly impacting micro businesses' competitiveness. South Africa's high micro-business failure rate can be ascribed to a lack of corporate governance frame-work and managerial competency. This study aimed at the impact of corporate governance on the managerial competencies of micro-businesses. Phenomenological (qualitative) approaches were used to address the lack of managerial competency affecting micro businesses to understand how this lack of managerial competency affects their ability to compete. According to exploratory research, one of the nega-tive factors limiting micro-business competitiveness in South Africa is a lack of managerial competencies. Semi-structured interviews were one of the data collection methods employed in the study. The results showed that a lack of managerial competencies is one of the main rea-sons South African micro businesses are not competitive. The study concludes that the corporate governance framework is critical to the survival of South African micro businesses. To eliminate gaps in man-agerial competencies that negatively impact business competitiveness, the study suggested that micro-businesses should put in place suitable governance structures.